Alternatively, if XYZ Inc. prepaid for software licenses that extend beyond one year, the prepaid expense of $60,000 would be classified as a long-term asset. After her payment is recorded, Jill will then need to record the legal expense each month until the retainer is used and the Prepaid Legal Fees account has a $0 […]
The overhead will be allocated to the product units at the rate of 10.00 for each machine hour used. After reviewing the product cost and consulting with the marketing department, the sales prices were set. The sales price, cost of each product, and resulting gross profit are shown in Figure 6.6. Finance Strategists has an […]
Once all adjusting entries have been recorded, the result is the adjusted trial balance. This one contains entries pertaining to account reconciliation adjustments, depreciation entries, and charges of prepaid expenses to expense. The accountant may prepare a series of adjusted trial balances, making a number of adjusting entries before …
Once you’ve designed your workflow, assigned roles, and gotten your forms ready, it’s time to implement your purchase order system. Before you fully roll it out, test the system with a small group of people to make sure everything is working smoothly. When designing your workflow, consider integrating automated reminders to help …
The sixteenth letter of the English alphabet, called pee and written in the Latin script. Throughout its known history it has represented the unvoiced labial stop. It corresponds to the Semitic pe, perhaps deriving from an earlier sign for “mouth.” The Greeks renamed this form pi (Π). The Semitic Pê (mouth), as well as the […]
As you move through income and expenses step by step, the story behind profitability (or losses) unfolds. The income statement starts with revenue and moves on to expenses that eventually result in the organization’s profit or loss. If you have any additional income not included in your revenue totals above, such as interest income or …